Russian businessman Alisher Usmanov is reportedly interested in trading some of his shares in Megafon – Russia’s second largest mobile operator – for a controlling stake in local 4G operator Scartel, which operates under the brand name Yota….
Russian businessman Alisher Usmanov is reportedly interested in trading some of his shares in Megafon – Russia’s second largest mobile operator – for a controlling stake in local 4G operator Scartel, which operates under the brand name Yota.
The deal would be subject to Usmanov acquiring fellow billionaire Mikhail Fridman’s 25.1% stake in Megafon, thereby increasing his own stake to 56.2%, Reuters reported, citing Russian business daily Vedomosti.
According to the report, Usmanov is already discussing the potential swap with Yota’s co-owners; private investment firm Telconet Capital, which currently has a 74.9% stake in the company, and state-owned industrial company Russian Technologies, which has a 25.1% stake.
Meanwhile, Russian business news agency Prime reported MegaFon is in talks to acquire Yota, which it said analysts have estimated could be valued at between US$150m and US$500m.
In March last year, Yota announced it had signed an agreement with Russia’s four largest telcos – Rostelecom, MTS, Vimpelcom and Megafon – allowing them to use its yet-to-be-launched Long Term Evolution (LTE) network to offer 4G services.
After several postponements, Yota announced earlier this month that it plans to launch the network on 10 May.
In its March statement, Yota said the LTE network agreement also gives the four telcos the option to buy shares in the company in 2014.
Usmanov currently has a 31.13% stake in Megafon, Russia’s second largest mobile phone operator, via holding company AF Telecom.
Usmanov reportedly may pay about US$5bn for Fridman’s Megafon stake.
Megafon, Yota and Russian Technologies were not immediately available for comment. A spokesperson for Altimo declined to comment.
